Ford plant assembles 3K units, tipped to start producing parts
Ford plant assembles 3K units, tipped to start producing parts
The Ford assembly plant in Pursat province’s easternmost district of Krakor has produced a total of approximately 3,000 Ranger pickup trucks and Everest SUVs (sport utility vehicles) in about a year of operation, exclusively for the Cambodian market.
Ngorn Saing, CEO of RMA (Cambodia) Plc (RMAC), the exclusive distributor of Ford vehicles in Cambodia, revealed this at a July 11 event commemorating the one-year anniversary of the plant, which he stressed would strengthen the domestic market position of the US brand.
He also hinted at plans to manufacture more of the necessary components in-house.
RMAC, which has a bond listed on the Cambodia Securities Exchange (CSX), on June 16, 2022 inaugurated the Ford assembly plant – the Kingdom’s first – which was reportedly valued at $21 million at the time.
“We have so far built 3,000 Ford Ranger Wildtraks and Ford Everests to feed domestic demand. Ford’s presence marks the beginning of the Cambodian automotive industry’s transition from assembly to manufacturing. This will be a game changer,” Saing said.
Claiming that this shift is “forthcoming”, he boasted that the Krakor plant is slated to appreciably accelerate industrial development in the predominantly agricultural province.
“Our plant also contributes to strengthening the local economy by supporting SMEs [small- and medium-sized enterprises], including food courts, guesthouses, and other related businesses, as well as by creating jobs directly and indirectly, which deter people from seeking employment abroad,” he said.
By importing cutting-edge wiring harness and other novel products, ensuring internal compliance with international technical standards, luring allied businesses like manufacturers of tyres, electrical wires and batteries, and encouraging increases in overall domestic production capacity, the facility also supports the local automotive industry, Saing claimed.
According to Keo Rottanak, director-general of state-run power utility Electricite du Cambodge (EdC), RMAC also intends to assemble Ford Territory SUVs locally to keep pace with domestic demand.
“The US automaker plans to increase its investment and assemble the Ford Territory model,” he disclosed in a statement issued in conjunction with a June 11 meeting with “the company’s owner”, who was unnamed. No timeframe was provided for the preparation of any Ford Territory assembly line.
Speaking at the July 11 anniversary celebration, Kay Hart, president of Ford’s International Markets Group (IMG), commented that the Krakor plant has employed “several hundred” workers from local technical institutions and provides extensive training programmes. She also reiterated the RMA Group’s dedication to improving Cambodians’ lives.
In a recent filing to the CSX, RMAC noted that “the Cambodia car market in 2022 grew by 26 per cent compared to the previous year, at approximately 71,000 vehicles both new and used sold and registered against 57,000 units in 2021.
“New car sales have increased to above 28,000 units which represent a 43 per cent increase over 2021. The new car market in 2022 weighed 39 per cent of the total market, increasing its footprint from 34 per cent in 2021. During 2022, Ford new vehicle sales were up by 31 per cent,” it said.
According to the European Chamber of Commerce in Cambodia (EuroCham), RMAC – through its network of affiliates – “exclusively represents and manages” brands including “Ford Motor Company, Jaguar and Land Rover, Piaggio JCB, John Deere, JLG, Hako, PowerBoss, Minuteman, TCM, Megger SebaKMT, John Deere, AVIS, The Pizza Company, Swensen’s, Dairy Queen, Krispy Kreme, Bar B Q Plaza and The Coffee Club”.
